O-I European Group launches private offering of senior notes

2017-12-06Company financial news

O-I’s subsidiary OI European Group intends to offer USD 310 million aggregate principal amount of its senior notes due 2023 in a private offering.

O-I’s subsidiary launches private offering of senior notes

Owens-Illinois Group, Inc. (O-I) has announced that OI European Group B.V., an indirect wholly owned subsidiary of the company, intends to offer, subject to market and other conditions, USD 310 million aggregate principal amount of its senior notes due 2023 in a private offering to eligible purchasers under Rule 144A and Regulation S of the US Securities Act of 1933, as amended (the "Securities Act"). OI Europe's obligations under the senior notes will be guaranteed on a joint and several basis by the company and certain US domestic subsidiaries of the company that are guarantors under the company's credit agreement.

The company expects to use the net proceeds from the private offering, together with cash from the company's balance sheet, to repay all amounts outstanding under the company's Euro-denominated term loan A facility under the credit agreement.

The senior notes and the guarantees have not been registered under the Securities Act, or applicable state securities laws, and will be offered only to qualified institutional buyers in reliance on Rule 144A under the Securities Act and to certain non-US persons in transactions outside the United States in reliance on Regulation S under the Securities Act. Unless so registered, the senior notes and the guarantees may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws. Prospective purchasers that are qualified...

Owens-Illinois Group, Inc. (O-I) has announced that OI European Group B.V., an indirect wholly owned subsidiary of the company, intends to offer, subject to market and other conditions, USD 310 million aggregate principal amount of its senior notes due 2023 in a private offering to eligible purchasers under Rule 144A and Regulation S of the US Securities Act of 1933, as amended (the "Securities Act"). OI Europe's obligations under the senior notes will be guaranteed on a joint and several basis by the company and certain US domestic subsidiaries of the company that are guarantors under the company's credit agreement.

The company expects to use the net proceeds from the private offering, together with cash from the company's balance sheet, to repay all amounts outstanding under the company's Euro-denominated term loan A facility under the credit agreement.

The senior notes and the guarantees have not been registered under the Securities Act, or applicable state securities laws, and will be offered only to qualified institutional buyers in reliance on Rule 144A under the Securities Act and to certain non-US persons in transactions outside the United States in reliance on Regulation S under the Securities Act. Unless so registered, the senior notes and the guarantees may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws. Prospective purchasers that are qualified institutional buyers are hereby notified that the seller of the senior notes may be relying on the exemption from the provisions of Section 5 of the Securities Act provided by Rule 144A.